News/Risk management/Risk management
Hawke highlights "thorny issues" of Basel II
John Hawke, the US Comptroller of the Currency, this week said that “there are a number of thorny issues that remain to be worked out” in the Basel II bank capital adequacy Accord. Speaking at a conference held by the Institute of International Bankers…
Swiss Re warns on losses
Swiss Re, one of the world’s largest reinsurance groups, yesterday warned investors it expects to report a Sfr200 million ($115 million) loss when earnings are released in April. But the firm’s management will recommend an unchanged dividend of Sfr2.5…
GFInet to unleash derivatives market data feed
New York-based interdealer broker GFInet plans to offer market data feeds for the first time, and is in the process of selecting a feed vendor.
JP Morgan Chase pushes for new op risk measure
In the opening session of Risk's OpRisk 2002 conference in New York today Joseph Sabatini, head of corporate operational risk at JP Morgan Chase, said the bank was considering a move to treat operational risk as an independent firm-wide performance…
CDOs of asset-backed securities prove their worth, says Moody's
Collateralised debt obligations (CDOs) of asset-backed securities (ABS) and other repackaged securities,have suffered minimal credit deterioration in response to the general macroeconomic decline, according to credit rating agency Moody's.
India relaxes rules on exchange-traded derivatives
The Reserve Bank of India (RBI) has ended many of its restrictions on foreign institutional investors, granting them permission to trade all exchange-traded derivatives products.
Hedge fund moves into market-making
Algometrics, a London-based hedge fund, is looking to raise around $500 million to become a liquidity provider in cash and derivatives equity markets.
Merrill takes on more risk, sets up equity prop-trading unit
Merrill Lynch appears determined to take more risk on its own books as part of an effort to boost profits. The firm’s latest move is to set up an equity prop-trading unit to trade equity-linked products. The development follows a decision last year to…
Basel II final paper delayed until 2003
Global banking regulators now expect to issue their final version of the complex and controversial Basel II bank capital adequacy accord “some time next year” rather than by the end of this year as previously hoped.
Credit Lyonnais boosts Asian hedge fund team
The emerging markets arm of Credit Lyonnais has made three new hires to its specialist hedge fund team in Hong Kong.
Senators move to block preferential employee stock options tax treatment
Four US senators will today introduce a new bill, the 'Ending the Double Standard for Stock Options Act', that will require US corporations to treat employee stock options in the same way in both their tax returns and financial statements.
TFS-Icap completes Volbroker integration
Interbank broker TFS-Icap has completed the integration of online options broking platform Volbroker, following its December 1 acquisition of a stake in the bank-owned consortium.
Heineken seeks rainy day hedge
Heineken, the Dutch brewing company, is seeking to hedge its business exposure to rainy Saturdays, according to a weather market source. Such a development is seen by some participants as a key test for the future growth of the weather risk market.
Survey delay puts Basel II timetable under further strain
Delays in issuing a crucial survey could again imperil the timetable of the Basel II bank capital adequacy Accord and further endanger the European Commission’s schedule for risk-based bank regulation.
Dealing with the flak
With the final Basel Accord proposals due to be published later this year, the Bank of International Settlements’ new Asian head, Shinichi Yoshikuni, does not have much time to settle into his new role, writes Nick Sawyer.
Weary recognition of gross income as Basel II op risk measure
LONDON - There was "weary recognition" among bankers that the use of gross income as a measure of operational risk was the least bad approach, said Richard Metcalfe, co-head of the European office of the International Swaps and Derivatives Association …